AI has come a long way and has evolved to a point where it makes us feel like we have the upper hand in daily business operations. But, above all, it’s important first to identify what is possible for you to complete with the help of AI? In other words, how is it giving you a competitive advantage?
Generally speaking, AI helps create more products, offers more intelligent services, improves internal business operations, and more.
Well, let’s not waste any more time, but let’s sincerely find out the ten ways how AI can transform your business.
10 Ways the AI can transform your business
- Data extraction
AI has bought innovative deep learning models that allow the AI to learn document layouts and relationships between labels and text. Data extraction is the process of procuring data from a given source and moving it to a new context, cloud-based, and more.
Data extraction paves the way for accessible data, and the worst part is that organizations ignore more than 40% of accessible data. For instance, machine learning is a model that performs well and could bring endless benefits to your processes.
Note: If you want to read more on data extraction, you can follow this data extraction guide
- Site selection
Site selection is known to be a combination of both art and science. It became pretty popular in the 1990s, but with the help of AI, smart models have influenced business owners to make better decisions. Predictive models have made this possible. For instance, you try to build five new stores this year and try to find out if they’ll be successful or not. Still, it’s better to determine the probability of their success by gaining new insights into where your customers are, where they are shopping the most, and the competitive factors behind it.
Most retailers and real estate professionals use predictive models to gather information, incorporate it based on their customers and market factors, and combine it into a model that promotes sales and profitability.
After all, data is something we need to be concerned about, and the more accurate it is, the better for us. Usually, your best bet is to use software to collect data. For example, Carto’s retail site selection software will use data to show you where your next big opportunity is, visualize store catchment and trade areas, pinpoint key target locations, and more.
Overall, most software is good at doing this, but when choosing a site selection software, you need to identify if it matches your company’s requirements.
- Fraud detection
Fraud detection is undoubtedly one of the most important parts of a business. However, with online attacks consistently rising, it’s important to protect your sensitive information against online attackers. An online attack will not only steal loads of sensitive information but also damage your business’s reputation and might never make it the same again.
In fraud detection, we have machine learning, a collection of AI algorithms programmed to block user actions associated with ID theft, anonymous logins, fraud, and more.
When you program machine learning engines, you must ensure it distinguishes non-fraud and fraud activities to avoid false positives and reduce risks of preventing non-fraud activities. The longer these algorithms run, the more accurate they’ll be.
Nevertheless, when you use anti-fraud software, you must ensure it uses machine learning. For instance, SEON uses machine learning to simulate human thinking and allows machines to learn from the collected data without reprogramming.
Above all, we need to know that machine learning has its own subset: deep learning. Deep learning will encourage algorithms and structures modeled after the human brain.
- Intelligent services
Instead of offering a traditional approach to selling a product or service, businesses are transitioning to an “AI” approach. For example, Netflix is a perfect example of this case. The sizable online streaming service that has access to large amounts of customer data helps the company personalize and better analyze how they deliver their services. Thus, if you know what the customer really wants, you’ll be better at providing services. Thus, this is the power of how AI directly affects the online world.
- Improves internal business processes
AI is excellent in optimizing internal business processes. It helps implement automation such as HR, Payroll, marketing, sales, and more. As a result, online companies can streamline their workflow and improve the productivity rates of their internal processes.
AI can be employed in several business areas, from HR to customer service. However, AI can better handle almost every aspect of your internal business functions.
Suppose you want to save money and improve business performance effectively. In that case, it’s best to incorporate AI solutions into your business functions, from automated customer service chatbots to anti-fraud detection software and more.
- Improved customer service
Excellent customer experiences rely on the border of each successful business. It turns new and satisfied customers into long-life ones, which is a direct factor in improving sales. According to a study, by 2025, it’s predicted that 95% of customer service interactions will be by AI. So far, AI chatbots are coming a long way and might be your primary source of direct communication shortly.
Above all, smart chatbots are trained by machine learning (ML) and programmed to answer customer queries and provide as many active answers as possible.
- Marketing & customer insights
When analyzing the market, AI plays a massive role in intervening. Predictive analysis can be created with the use of applied data that is gathered from social media, system metrics, and more. Nevertheless, you can take customer experiences to the next level through these customer insights.
Also, let’s not forget that AI plays a significant role for small businesses and start-ups. It helps reduce costs and increases regular maintenance through their quality checks.
Most of your customers are on social media, and most online businesses are there. Therefore, AI is an important factor for measuring data on social networks. For instance, data mining techniques can analyze different types of social traffic. Moreover, social media is an excellent opportunity for finding influencers and new social media approaches.
- Behavior prediction
AI algorithms can analyze behavior patterns, deliver personalized offers, detect fraud, and customize how a message is sent out. Many insurance companies have implemented these innovative technology features as a part of their marketing strategies.
However, behavior prediction isn’t only important for insurance companies and each company operating online.
- Improving supply chain management
AI can significantly help online businesses improve their supply chain management. By analyzing data gathered, the AI can optimize supply chains by monitoring inventory, identifying waste areas, and areas of inefficiency.
Other than that, it helps companies identify the risks that may happen or are likely to happen. It can analyze the data to optimize delivery times, inventory, warehouse space, and more. Thus, it helps businesses reduce unnecessary costs, improve operational productivity, and maximize profits.
- Improved conversion rates
Every business is concerned about its conversion rates, and being able to increase them is never a bad idea. Moreover, the power of machine learning can help you improve your revenue rates with new technology such as computer vision (CV).
Nevertheless, computer vision transforms the way we shop. For example, it allows retailers to suggest related products based on similar products they have previously shopped for. In addition, shoppers can immensely benefit from CV visual search for finding products and using images instead of text-based tags.
Visual discovery makes the process somewhat easier, simplifying the process, increasing overall customer satisfaction, and increasing the conversion rates. As of now, the average conversion rate on e-commerce stores is around 3%-4%.
Wrapping everything up
That’s about it for this article. These are the 10 ways in which AI can transform your business. If we go back decades ago, AI wasn’t anywhere in the picture when it came to business and everyone was relying on traditional marketing strategies. However, in this day and age, things have changed, so AI is being used more than ever and is impacting how we run our business.
The business world is changing so it’s more important than ever to change the way we are working and how much we include AI in our everyday business lives. After all, AI is not there to do harm but to make things easier and we need to use it to the maximum to ensure that it’s making things easier for us.
